A price discriminating monopsonist could increase its profits by:
a. paying the minimum wages possible.
b. hiring as little capital as possible.
c. paying lower wages to workers with inelastic supply of labor curves than to workers with elastic curves.
d. paying lower wages to workers with elastic supply of labor curves than to workers with inelastic curves.
c
You might also like to view...
If a firm hires a worker by paying him a wage lower than his value of marginal product, ________
A) firing the worker will increase the firm's profits B) the firm is making an optimum decision C) the firm should hire more workers to increase profits D) profits of the firm are minimized
If the demand and supply curves for a commodity shift to the right by the same amount, then in comparison to the initial equilibrium, the new equilibrium will be characterized by:
A) a higher quantity and price. B) a lower quantity and a higher price. C) the same quantity and a lower price. D) a higher quantity and the same price.
Professor Tabarrok points out that it can take a long time to
A. combat the shocks that cause structural unemployment with positive shocks. B. identify the causes of the shocks that cause structural unemployment. C. adjust to shocks that cause structural unemployment. D. reverse the shocks that cause structural unemployment.
What is a brief definition of economics? What are the conditions that give rise to this definition?
Please provide the best answer for the statement.